The solution to Internal Controls

What is the purpose of internal control? Why is internal control important? How can internal controls help or hinder a company's success? Define, explain, give examples and be specific.

What governing bodies are responsible for establishing financial reporting parameters? What is their purpose? Which body is the most important? Why?

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The response addresses the queries posted in 390 words with references.

//As per the directions, we will write about the main purpose of internal control and its importance. Then, we will discuss about the necessity of the internal control in a company's success.//

Internal Control and Financial Reporting Parameters

1.

It is the process of deriving fair confidence of reaching at the basic business concern aims, effectively and efficiently I.e. Performance, profitability and resources utilization, etc. in order to accomplish the management's objectives of ensuring as far as practically. The basic purpose of the internal control is to achieve the management's aims. The key purposes are:

Ø To push up the adhesiveness to managerial policies, strategies and processes, in order to get accurate results.

Ø To defend company's total assets from illegal usage or disposal.

Ø To check that records are ...

Solution Summary

The response addresses the queries posted in 390 words with references.